Uruguay has taken a step further along its path to issuing a sustainability-linked bond, which will be something new for the market to get its teeth into. And in an extra wrinkle, the South American sovereign borrower is proposing to pay investors less if it hits certain sustainability targets.
We take a look at how near this controversial idea is to becoming reality and whether the market thinks Uruguay will succeed or fail.
Meanwhile, as we recorded the podcast, the UK’s new chancellor of the exchequer, Kwasi Kwarteng, was delivering to parliament his plans for the country’s finances. One policy he was expected to reveal was to remove the cap on bankers’ bonuses.
We explain why we think this is a good policy, even if the timing appears to be horrific for a whole host of reasons.